REPORT: Honda to invest in Pioneer electronics
In spite of Honda's $2.91 billion Q1 loss, the Japanese marque knows the investment show must go on, and it's reported to be finalizing a stake in Pioneer. The Japanese electronics maker is shutting down its home electronics division, which has been losing money for years, in order to focus on in-car electronics. After approaching Honda to inquire about a tie-up, Honda is looking to put several billion yen into the company for around a 5% stake (a billion yen is about $10 million U.S.). With in-car electronics a key component in the current automobile revolution, it could be very handy for Honda to have the inside track on developing proprietary systems with an electronics expert, especially if it can use that to maintain an advantage over other Pioneer-equipped OEMs.
[Source: Reuters]
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Reader Comments (Page 1 of 1)
timo 5:37PM (4/30/2009)
I thought they already own 3% of Alpine?
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Jim 10:40AM (5/01/2009)
I don't know if that's true, *however* this deal does not bode well for Alpine- Honda is/was one of their core customers.
P.V. 5:43PM (4/30/2009)
This could get extremely interesting. Pioneer vs. Mark Levinson, anyone?
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Jim 10:42AM (5/01/2009)
bunk. The "Levinson" systems are just Harman parts with the name slapped on them.
Tourian 5:47PM (4/30/2009)
This is interesting because I read one of those MSN news stories about companies about to file BK and Pioneer was on the list. I guess it makes sense to invest in a company that could work hand in hand on future products for the sake of not letting them die and having exclusive rights to the best they have to offer.. I wonder if anyone at ExxonMobile would want to invest in GM?
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Steve 5:51PM (4/30/2009)
nothing like week old news to fill in the gaps
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scotaku 3:34PM (5/01/2009)
Perhaps this is a match made in heaven?
To get the Pioneer headunit to start faster, just crank the knob to eleven and turn the key. 'Works for the boy ricers on my street.
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anthony 6:12PM (4/30/2009)
When I was checking out the trunk of my '06 TSX one day I noticed the stereo's speakers were made by Pioneer. Sounds like Honda and Pioneer have been working together for sometime now.
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Cameron 6:21PM (4/30/2009)
My spare head unit is a decade old Pioneer that just won't die. Works perfect, doesn't skip, been in five cars so far. But the only modern Pioneer (non-video) unit that I'm fond of is the Premier 880PRS. It's clean and full featured and not gaudy. Those modern joystick/button/knob combo things on all the other models just feel kinda cheep to me.
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evident 10:17PM (4/30/2009)
Pioneer makes great electronics for a great price. They offer the best featureset for their price point and im thrilled that they are gonna be teaming up with Honda!
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Jim 10:44AM (5/01/2009)
"Pioneer makes great electronics for a great price. They offer the best featureset for their price point and im thrilled that they are gonna be teaming up with Honda!"
Let me guess- your work email address ends in "@pioneerelectronics.com," right?
mnemonicj 8:33PM (5/01/2009)
Actually, if you work for Pioneer and work with Honda, your work e-mail address ends in @pioneer-usa.com.
zxc187 6:42PM (4/30/2009)
DOES THIS MEEN WE WILL SEE KUROS IN THE FUTURE (delusional videophile sorry!)
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Greg 8:39PM (4/30/2009)
The team responsible for the yearly Kuro designs is now working for Panasonic.
EU_reader 6:41PM (4/30/2009)
I absolutely like these systems from pioneer.
Most of the time, I'm not to keen on proprietary navigation solutions from the car manufacturer themselves.
-Very expensive option (they know people like the clean looks of a built in system, so they charge like 500% of what it really costs them)
-Not very upgradable. Sure, maps maybe, but a new system with more capabilities, forget about it.
-Sometimes really really bad. I know enough people with a proprietary 'option' navigation pack (jaguar, etc) who still use those 300 dollar things you can buy almost everywhere. Because they're so much better
On the other hand: I don't like those rubber snap on brackets that clutter my windscreen or dashboard (or drilling holes en having cables all around). Also you need to take them out every time (anti-theft) and even if you take it out and leave that rubber thing on your window, they might still smash it, just because they think it's there.
Therefore: these panasonic systems are brilliant. Not too expensive, clean solution and almost always better than the OEM crap some cars have. And if it's outdated: you buy a new unit, because it's standard dimensions.
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Raffi 8:50PM (4/30/2009)
OEMs units are also more reliable, they always have dead reckoning and work in underground garages and certain urban areas where almost any portable GPS becomes an expensive paperweight.
Rich 7:09PM (4/30/2009)
Glad to see a foreign story reported with the foreign currency intact. That's the difference between "international" and "global". Thanks.
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Greg 8:37PM (4/30/2009)
Pioneer would've gone bankrupt this year without outside capital investments.
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dcheam 2:51AM (5/01/2009)
This sounds great! Hopefully the price of vehicles won't be tremendously impacted.
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mnemonicj 8:30PM (5/01/2009)
Pioneer is heavily involved in OEM stereos as well as aftermarket. Pioneer has been working hard over the last few years to get a large market share of North America Honda/Acura OEM stereos and navigation systems and was successful until the automotive industry itself tanked. One of the many reasons Pioneer had to lay off 10,000 employees worldwide earlier this year.
Honda's investment in Pioneer means even more Honda business and hopefully some financial stability for Pioneer.
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